Soon state-run oil marketing companies (OMCs) - Indian Oil Corporation, Bharat Petroleum Corporation and Hindustan Petroleum Corporation -would receive notices on alleged cartelisation, said Ashok Chawla, Chairman of the Competition Commission of India (CCI).
Speaking on the sidelines of a conference, Chawla said.
the CCI has taken up the issue after the government clarified that it does not have a role to play in petrol pricing after deregulation. CCI is also looking at the coal and fertiliser sectors, where government-owned companies dominate the market.
Chawla remarked that the law does not distinguish between government and private companies. The CCI also believes the practice of under-recovery in which the government compensates the OMCs for selling diesel at less-than-the market price is not fair.
CCI is taking the route of advocacy with the government for such issues, Chawla said. Unlike petrol prices, diesel is still regulated by the government and under-recovery makes marketing of diesel for private companies unviable, he remarked.